Standard & Poor's Ratings Services has assigned its 'AA-' long-term debt rating to two senior unsecured issuances under Abu Dhabi National Energy Company's (Taqa) global medium-term note program.

The note issues comprise a five-year $1 billion senior unsecured issue maturing on August 1, 2013, and a 10-year $500 million senior unsecured note issue maturing on August 1, 2018.

The note issuances conform with the terms governing all senior unsecured notes under the program and were therefore assigned 'AA-' ratings in line with the program rating.

Proceeds from the note issuances will be used to partly pay down some of the drawings under Taqa's existing short-term facilities as well as to fund Taqa's corporate activities, including acquisitions planned over the short term.

The 'AA-' corporate credit rating and 'BB' stand-alone creditworthiness on Taqa already factor in the impact of these two note issuances.

Taqa was established in 2005 in Abu Dhabi as an energy holding company. The ratings on Taqa reflect the company's position as a key entity in the economy of Abu Dhabi (AA/Stable/A-1+) as the majority owner of critical power and water desalination assets, and its importance as a vehicle for global investment and public policy.

As a result, the ratings reflect Standard & Poor's expectation of ongoing implicit sovereign support (although there are no formal guarantees) and the company's status as a government-related entity. We apply a one-notch differential between the rating of the Emirate and Taqa to reflect this support.-Reuters